Institution building is now recognized as vital for poverty reduction across the world. Realising the importance of institutions and their potential role in natural resource management, poverty reduction and livelihood security, this book focuses on the role of watershed institutions more specifically the Self-Help Groups (SHGs) institutions in mitigating poverty. Econometric analyses were used to examine the role of institutions in poverty reduction. The key results of different econometric tools were presented and discussed. This book with elaborate policy recommendations will be useful to watershed development planners, researchers and extension personnel, government and non-governmental organizations and teachers and students involved in watershed development programmes.